The review also plumped for a separate governance board to oversee the bank’s organisation strategy, performance, finances, large projects, resourcing, staff pay, succession planning, risks including cyber risks, and the delivery of the nation’s banking and cash services. Chalmers will have to appoint almost an entirely new board to run the RBA and oversee its operation, including protecting the nation’s payment system from cyberattacks, under the deal he hopes to strike with the Coalition to reform the institution.
The opposition has raised fears that Chalmers would “stack” the monetary policy committee with people who lacked the experience or ability, arguing that all members of the current board go on to the new committee. Chalmers said he was prepared to make such concessions.
“This is about strengthening and modernising the Reserve Bank in the most bipartisan way,” he said.
The legislation results from the first independent review of the Reserve Bank in 40 years. The opposition should support it and allow Chalmers to make good on his promise to have the changes in place by the start of next year.
It’s more achievable than his other promise not to splurge on a pre-election spendathon.
Source Agencies
